President Bola Tinubu has approved the free registration of 250,000 Micro, Small and Medium Enterprises (MSMEs) across Nigeria in a major effort to support small businesses, expand the formal economy and promote job creation.
The approval was announced on Saturday during the 8th National MSME Awards 2026 held at the State House in Abuja.
According to the Presidency, the initiative is designed to remove one of the biggest barriers faced by small business owners by allowing them to register their businesses with the Corporate Affairs Commission (CAC) without paying the normal statutory fees.
The intervention targets nano, micro and small-scale businesses operating across different sectors of the economy, many of which remain unregistered because of the cost and complexity of formal registration.
The Federal Government said bringing more businesses into the formal sector would make it easier for them to access financial services, government support programs and other business opportunities.
Under the initiative, beneficiaries will receive full business name registration at no cost through the Corporate Affairs Commission.
The Presidency explained that the program is not limited to free registration alone. It also includes technical training and business support designed to help entrepreneurs improve their operations and build sustainable businesses.
According to the government, the package will provide what it described as “moral support” for business owners, alongside specialised training to equip them with the skills needed to grow their enterprises and remain competitive.
The Presidency said the program is being implemented through a partnership between the Corporate Affairs Commission and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).
Officials involved in the program described the waiver of registration fees as a major financial concession aimed at encouraging more entrepreneurs to formalise their businesses.
They added that the initiative is expected to reduce the high failure rate among small businesses by giving entrepreneurs access to legal recognition, business development support and opportunities available only to registered companies.
According to the Presidency, interested business owners are expected to apply through SMEDAN’s official online portal, where they will complete the required documentation before being considered for the program.
Successful applicants will then be onboarded for free business registration and other support services under the scheme.
The announcement was one of the major highlights of the 8th National MSME Awards, an annual event organised to recognise outstanding small businesses and promote entrepreneurship across the country.
The awards also serve as a platform for unveiling new government policies aimed at strengthening Nigeria’s MSME sector, which remains one of the largest employers of labour.
Micro, Small and Medium Enterprises are widely regarded as the backbone of Nigeria’s economy. According to official estimates, they account for more than 90 per cent of businesses operating in the country and provide employment for millions of Nigerians.
Despite their importance, many small businesses struggle with limited access to finance, poor infrastructure, multiple taxes, inadequate business skills and the high cost of compliance with government regulations.
Business registration is often one of the first challenges faced by entrepreneurs. While registration gives businesses legal recognition and improves their credibility, many small operators avoid the process because of financial constraints or a lack of awareness about its benefits.
Registering with the Corporate Affairs Commission allows businesses to operate legally, open corporate bank accounts, enter formal contracts and qualify for government intervention programs, grants and loans.
Over the years, the Federal Government has introduced several programs to strengthen the MSME sector through SMEDAN, the Bank of Industry, the Development Bank of Nigeria and other agencies.
These interventions have focused on improving access to finance, entrepreneurship training, market opportunities and digital skills while encouraging innovation among young entrepreneurs.
The latest free registration initiative is expected to complement those programs by increasing the number of formally registered businesses across the country.
Formalising more businesses may also help increase tax compliance in the long term, although newly registered enterprises are expected to benefit first from easier access to finance and government support rather than immediate tax obligations.
Stakeholders have welcomed the initiative, describing it as a practical step towards reducing the financial burden on small business owners, especially at a time when many enterprises are facing rising operating costs.
They, however, stressed the need for transparency in the selection of beneficiaries and called on the government to ensure that entrepreneurs in rural communities and underserved areas are not left out of the program.
They argued that while formal registration is an important first step, long-term business growth will depend on creating an environment where small enterprises can thrive.
With the approval of free registration for 250,000 MSMEs, the Tinubu administration is seeking to encourage more entrepreneurs to join the formal economy, expand their businesses and contribute more effectively to national economic growth.